Articles Tagged withAmerican Finance Trust

Would you listen if a company selling its stock asked you to reject a buyer’s offer?

That’s the conundrum facing stockholders of American Finance Trust, Inc. (NASDAQ: AFIN.) This REIT was formerly not traded, and sponsored by AR Global. The company has 75% of its Class A and former Class B-1 shares, 400,000, on the NASDAQ. The remaining Class B-2 shares are expected to be listed in January 2019.

McKenzie Realty Capital Inc. made, for the second time, an unsolicited tender offer to purchase up to 400,000 shares of each class of the company’s common stock. AFIN’s board is urging stockholders to reject McKenzie’s offer. However, both sides offer reasons for their recommendation.

Marco Bartolo Azizi (CRD #2154719) is a registered broker and investment advisor currently employed with Centaurus Financial, Inc. (CRD #30833) of San Jose, CA. His previous employers include Summit Brokerage Services, Inc. (CRD #34643) and J.P. Turner & Company, L.L.C. (CRD #43177), also of San Jose, CA, and Global Capital Securities Corporation (CRD #16184) of Englewood, CO. He has been in the industry since 1991.

Silver Law Group is investigating the sale of American Finance Trust, Inc. (AFIN) and other illiquid investments by Centaurus Financial and several advisors including Marco Azizi. American Finance Trust (AFIN) was sold as a private REIT to many investors at $25 a share. After AFIN became publicly traded, the price dropped dramatically and currently trades at about $15 a share.

Azizi has two disclosures, both customer disputes filed in 2006, both with allegations of “unsuitability.” The financial products in question were Calpine Bonds. The most recent dispute was filed 3/7/2006, and requested damages of $33,199.54. The first dispute was filed 01/05/2006, with requested damages of $64,005.00. Both claims were denied.

Silver Law Group is investigating brokers and brokerage firms that sold American Finance Trust, Inc. Recently, the American Finance Trust (Stock Ticker: AFIN) begins trading on the Nasdaq Exchange 40% less than what investors initially paid.

American Finance Trust went public and was listed on the Nasdaq Exchange in July 2018. American Finance Trust began trading on the exchange at $15-per-share, which is $10 less per share than what many investors paid when they initially purchased the investment, making it a collective billion-dollar disaster for investors.